DTN Midday Grain Comments 12/13 10:47

DTN Midday Grain Comments 12/13 10:47 Corn, Soybean, Wheat Futures All Lower at Midday Corn futures are 5 to 6 cents lower at midday Wednesday; soybean futures are 16 to 18 cents lower; wheat futures are 13 to 24 cents lower. David M. Fiala DTN Contributing Analyst MARKET SUMMARY: Corn futures are 5 to 6 cents lower at midday Wednesday; soybean futures are 16 to 18 cents lower; wheat futures are 13 to 24 cents lower. The U.S. stock market is firmer with the S&P 7 points higher. The U.S. Dollar Index is 9 points lower. Interest rate products are firmer. Energies are firmer with crude up .60 and natural gas up .05. Livestock trade is mostly lower. Precious metals are mixed with gold up 4.00. CORN: Corn futures are 5 to 6 cents lower at midday, fading amid broader risk-off trade in ag contracts with little fresh news besides Argentina reforms aimed at pushing exports and traders waiting for the Fed Statement at 1:00 p.m. CST. Ethanol margins will likely stay rangebound with weekly production off 2,000 barrels from high seen last week, with stocks rising 660,000 barrels ahead of holiday travel. Basis should remain steady in the short term. South American weather will be watched into the second part of the month. On the March chart, the 20-day moving average at $4.85 is nearby resistance, which we failed to hold above Tuesday, with the Lower Bollinger Band at $4.74 the next round down. SOYBEANS: Soybean futures are 16 to 18 cents lower at midday with pressure as trade looks for expanding Argentina exports into 2024 with the announced reforms there, along with trade waiting for further weather developments. Meal is 7.50 to 8.50 lower and oil is 55 to 70 points lower. The daily wire export wire remained active with 125,000 metric tons (mt) of beans sold to unknown destinations. The South American weather pattern remains dry in the dry areas for the short term with better moisture still showing in the extended forecast. Basis is expected to remain mostly flat in the short term. The January soybean chart has resistance at the 20-day moving average at $13.35, with the lower Bollinger Band at $12.83 as support. WHEAT: Wheat futures are 13 to 24 cents lower at midday with volatile action continuing in the upper end of the range with the risk-off bias this morning. The Plains should see mostly warmer and drier weather into the second half of the month. World weather continues to be little changed for the Northern Hemisphere overall, while Southern Hemisphere harvest will move forward. Matif wheat is solidly lower after bouncing Tuesday, following the volatility of the U.S. action with the dollar trending back to the lower end of the recent range. On the KC March chart, support was at the 20-day moving average at $6.39, which we are just back below at midday with the Lower Bollinger Band at $6.01 as further support. David Fiala can be reached at dfiala@futuresone.com. Follow him on X, formerly Twitter, @davidfiala. (c) Copyright 2023 DTN, LLC. All rights reserved.